/**/ Gov’t Cancels Over $227m Worth of ECG Contracts Over Non-Performance Gov’t Cancels Over $227m Worth of ECG Contracts Over Non-Performance
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Gov’t Cancels Over $227m Worth of ECG Contracts Over Non-Performance


 The Minister for Energy and Green Transition, John Jinapor, has announced the cancellation of over 202 supply contracts by the Electricity Company of Ghana (ECG), amounting to more than $227 million, as part of a major clean-up exercise aimed at boosting efficiency and eliminating financial waste in the energy sector.


Speaking during the Government Accountability Series in Accra on Wednesday, July 16, 2025, Mr. Jinapor said the move follows a comprehensive review of 347 contracts signed by ECG—many of which failed to meet delivery deadlines.


“To reduce ECG’s contingent liabilities and enhance inventory control and cost efficiency, the government undertook a full-scale audit of ECG’s contracts,” he explained. “This audit revealed that 347 contracts had issues, with suppliers failing to deliver within the agreed timelines.”


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He clarified that the cancelled contracts were not linked to delayed items at Ghana’s ports, but rather new supplies that had not yet been delivered. In total, the terminated agreements are valued at $227.6 million, £1.17 million, and €4.08 million.


Mr. Jinapor further revealed that 145 additional contracts are currently under review and may also be cancelled pending the outcome of ongoing evaluations.


“This action reflects our commitment to cleaning up the energy sector, ensuring value for money, and strictly enforcing procurement procedures,” he said.


The cancellation forms part of the government's wider reforms to reposition the energy sector with greater transparency, accountability, and improved service delivery.


Story By: Afia Ohenewaa Akyerem

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